Apple Computer Inc. is preparing the first free update to Mac OS X 10.3 "Panther," sources said, with an update that improves the new OS' security.

The company last week provided developers with an advance seed of
Version 10.3.1, labeled with the build number 7C107.

Sources said Apple used a brief release note to describe some of the
areas it updated in 10.3.1. The most significant changes and
improvements will be to WebDAV, FileVault and FireWire 800 drive
usage. The update will also include tweaks to disk image mounting,
printing, and iDisk access.

Version 10.3.1 will reportedly include security updates Apple has
released since shipping Panther. Sources said the developer seed of
build 7C107 was less than 1MB in size.

News of FileVault and FireWire updates comes just weeks after Panther bugs surfaced concerning those areas. In a statement Apple issued in late October, the Mac maker acknowledged a glitch resulting in data loss for some
customers using Panther and external FireWire 800 drives; the company said that updating the firmware for the Oxford 922 bridge chipset from Version 1.02 to 1.05 resolves the issue.

In the 10.3.1 release note provided to testers, Apple references the update's FireWire improvements but still recommends that developers update their drive's firmware, sources said.

In November, an issue also cropped up concerning FileVault, a feature of Panther that secures a user's home directory with 128-bit
encryption. Some users reported problems to href="http://www.macfixit.com/article.php?
story=20031107063933215#vault">Mac support Web sites, describing
data loss for Apple applications like Mail, Address Book, and the
Safari web browser after attempting to reclaim lost disk space.

Apple shipped Panther, the latest major upgrade to Mac OS X, on
Oct. 24 at a single-user
price of $129. Panther includes a redesigned Finder, iChat AV video
conferencing, and a UI feature called Exposé that tiles all open
windows for easy navigation.

Cupertino, Calif.-based Apple was not immediately available for comment about the update.

But on Monday afternoon, Apple publicly released the 10.3.1 update to users. The update is available through Mac OS X's Software Update.